Right mix: 4 largecap stocks with high ROE and consistent ROCE for wealth creation

When valuations are high but sentiments are bullish, it would be better to add the word “ caution” to your portfolio. Now how does one do it ? By putting some quantitative parameters when making a decision to buy a stock. Refinitiv’s Stock Report Plus which lists stocks with high upside potential over the next 12 months, having an average recommendation rating of “buy” or strong buy .

Are banks more prone to interest rate cycle or is it manufacturing business which is more vulnerable to higher interest rates. Every business has its own capital requirement matrix and this is what makes them prone to risks of interest rate cycle. Of all the stocks, which our algorithms come up with, we took companies from different sectors. On the list, there is one of the biggest wealth creators from the specialty chemical space. ET screener powered by Refinitiv’s Stock Report Plus lists stocks with high upside potential over the next 12 months, having an average recommendation rating of “buy” or strong buy .

At a time when worrying about what will happen to the global financial markets is the norm, it is better to stay focussed on long term wealth creation and companies which have the right combination to make it. Of all the stocks, which our algorithms come up with, we took companies from four sectors: defence, FMCG, agrochemical and natural resources. ET screener powered by Refinitiv’s Stock Report Plus lists down stocks with high upside potential over the next 12 months, having an average recommendation rating of “buy” or strong buy .

Many investors, especially the ones sitting on cash, get confused about what they should do in the market when the nifty starts to rally and is not far from its all time high. Should they – buy or wait for a correction, the answer lies in looking at fundamentals. Refinitiv’s Stock Report Plus which lists stocks with high upside potential over the next 12 months, having an average recommendation rating of “buy” or strong buy .

Every industry has different operating conditions which have high correlation with the kind of ROE companies in the industry generate. The bigger question is how sustainable that number is. Of all the stocks, which our algorithms come up with, we took companies from, FMCG, software, financial services and speciality chemical. ET screener powered by Refinitiv’s Stock Report Plus lists down stocks with high upside potential over the next 12 months, having an average recommendation rating of “buy” or strong buy .